In 2025, the Inflation Reduction Act (IRA) is changing the Medicare prescription drug (Part D) benefit structure. These changes are designed to make your Part D coverage more affordable and predictable.
What Part D changes may affect my Medicare plan?
One of the most notable changes in 2025 is the removal of the coverage gap, also known as the "donut hole." This simplifies the coverage stages to just three, which include: Annual Deductible, Initial Coverage and Catastrophic Coverage. You will also see a substantial reduction from the previous out-of-pocket maximum of $8,000 to $2,000, beginning in 2025.
What’s a Part D prescription drug deductible?
First, it’s important to understand what a deductible is. Your deductible is a pre-set amount that you or others on your behalf pay for your covered prescription drugs first, before Medicare or other insurance starts to pay. This amount can be found on your insurance policy and/or Annual Notice of Change letter. Not all Part D plans will have a deductible and the amount you pay may depend on the drug tier. Check with your plan provider for your specific plan details.
You can count on UnitedHealthcare to provide you with reliable information that may impact Medicare Part D prescription drug coverage in 2025.
Additional IRA and Part D resources and materials
The following resources and materials are available for you to explore and get more in-depth information about Medicare Part D coverage.
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